q2/19 analyst meeting presentation - listed...

Central Plaza Hotel Public Company Limited - CENTEL

Q2/19 Analyst Meeting Presentation

Agenda

� Q2/19 summary performance

� Hotel business overview

� Food business overview

� CAPEX and guidance 2019

� Appendix

Consolidated earning Q2/19 and 6M19

Note: * Total hotel revenue included deferred rental income

** Insurance claim from fire at Central World, Big C Rajdamri and Center One in 2010

Q2/19 Summary Performance

Decreases in Chinese & Russian during low season, Closure of Centara Grand Beach Resort Samui, Indirect impact from fire

event at CentralWorld shopping mall, Lower demand from government entities during changeover, Closure of food outlets at

Central Ladprao shopping mall, Ongoing value promotion campaign, and Increase in fixed costs.

THB million Q2/18 Q2/19 % Chg 6M18 6M19 % Chg

Total hotel revenue* 2,139.4 2,000.7 -6.5% 5,088.3 4,756.4 -6.5%

Total food revenue 3,051.7 3,224.9 5.7% 5,844.1 6,112.2 4.6%

Total revenues 5,191.1 5,225.6 0.7% 10,932.4 10,868.6 -0.6%

EBITDA 1,003.2 906.7 -9.6% 2,667.6 2,404.3 -9.9%

EBITDA margin (%) 19.3% 17.4% -1.9% 24.4% 22.1% -2.3%

Net profit from operation 371.7 290.5 -21.8% 1,254.8 1,035.8 -17.5%

Extraordinary items

Add: Insurance claim (net tax)** - - - - 80.6 NA

Less: Provision of long term employee benefits - (58.1) NA - (58.1) NA

Net profit excluding non-recurring items 371.7 232.4 -37.5% 1,254.8 1,058.3 -15.7%

Margin being pressured from several unfavorable factors

Low gearing & optimized profile

Average funding cost of 3.16%

Fixed, 78%USD, 20%

Gearing ratio Dec 2018 Jun 2019

Current ratio 1.1 0.9

Interest bearing debt/Equity 0.5 0.5

Dec 2018 Jun 2019

OD, Short-term loan Debentures Long-term loan

Note: * Included current portion of long-term loan and debentures

*

THB 7.1bn 1.4%

60%

34%

6%

50%

28%

22%

Dec 2018 Jun 2019

Financial position

Total liabilities Total equity

49%

51% 52%

48%

THB 26.4 bn 1.1%

Total interest bearing debt

Q2/19 Summary Performance

THB 26.1 bn THB 7.0bn

Hotel business

overview

Thailand tourism overview Indian strong growth

Hotel Business Overview 6

Source: Ministry of Tourism and Sport

8.9 9.1 9.7 10.8 9.0

19.5 19.7

9.1% 2.7% 4.3% 1.5% 1.1%12.2%

1.3%

-200.0%

-150.0%

-100.0%

-50.0%

0.0%

50.0%

-5.0

5.0

15.0

25.0

35.0

45.0

55.0

Q2/18 Q3/18 Q4/18 Q1/19 Q2/19 6M18 6M19

No. of tourist arrivals Growth yoy

Thailand number of tourist arrivals

Unit: million

Chinese (-4.9%) and European drop (-2.0%)

Thailand tourism overview

Indian +24% yoy

(Unit : Person)

Source: Ministry of Tourism and Sport

Hotel Business Overview

-5%

7%

24%

3% 5%

11%

-3%

4% 3%1%

China

5,638,627

29%

Malaysia

1,930,252

10%

India

978,751

5%

Korea

907,343

5%

Laos

880,733

4%

Japan

4%

Russia

4%

USA

3%

Vietnam

3%

UK 3%

Hong Kong

2%Singapore

2%

Germany

2%

Cambodia

2%

France

2%

Others

19%

Top 15 - International Tourist Contribution

6M19No. of tourist arrivals to Thailand

Top 10 - International Tourist Arrivals growth (%) – 6M19

Millions FY

2018 38.3

2019 40.1 (F)*

Growth +4.7%

Note: *Forecasting from Tourism Council of Thailand, 25 June 2019

Hotel demand and supply in Maldives


Arrival growth from all regions

Number of operational beds*

41,487 42,355 43,660 45,106 47,443

7% 8% 8% 10% 14%

-200.0%

-150.0%

-100.0%

-50.0%

0.0%

50.0%

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

Q2/18 Q3/18 Q4/18 Q1/19 Q2/19

No. of operational beds Bed growth yoy

Source: Ministry of Tourism, Republic of Maldives

Note: * included hotels, resorts, guest houses and safari vessels

Unit: beds

Number of tourist arrivals and occupancy rate (yoy)

306,412 353,944 403,815482,978

379,611

726,515862,589

52% 57% 64% 75% 56% 63% 66%

-500.00%

-400.00%

-300.00%

-200.00%

-100.00%

0.00%

100.00%

200.00%

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Q2/18 Q3/18 Q4/18 Q1/19 Q2/19 6M18 6M19

No. of arrivals % Occupancy

Source: Ministry of Tourism, Republic of Maldives

Unit: persons

3% 4% 3%15% 24%

11%19%

Maldives tourism overview

(Unit : Person)

Source: Ministry of Tourism Republic of Maldives

Indian +100% yoy


China

140,265

16%

India

82,140

10%

Italy

75,376

9%

Germany

69,237

8%

UK

64,792

8%

Russia

5%

France

4%

U.S.A.

3%

Japan

3%

Australia

2%

Switzerland

2% Korea

2%

Thailand

2% Austria

1%

Saudi Arabia

1%

Others

24%

Top 15 - International Tourist Contribution

6M19

10%

100%

34%20% 13% 12%

23%34%

18% 14%

Top 10 – International Tourist Arrivals growth (%) – 6M19

Hotel portfolio – 13,783 rooms

Upcoming overseas

In operation Pipeline

Thailand Overseas Total Thailand Overseas TotalGrand

total

Owned 15* 2 17 2 3 5 22

Managed 19 4 23 9 17 26 49

Total 34 6 40 11 20 31 71

In operation Pipeline

Thailand Overseas Total Thailand Overseas TotalGrand

total

Owned 3,940 252 4,192 412 911 1,323 5,515

Managed 2,738 786 3,524 1,628 3,116 4,744 8,268

Total 6,678 1,038 7,716 2,040 4,027 6,067 13,783

As of June 2019

54%

Owned

Total portfolio by rooms

*Including JV and property fund

63%

Thailand

40%

Owned

Number of hotels Number of rooms

In operation by rooms

87%

Thailand


Pipeline – 6,067 rooms

11Hotel Business Overview

AEC, Middle East and Indian Ocean

# of rooms Owned ManagedTotal

Year 2019E 2021E 2022E 2019E 2020E 2021E 2022E

Bali 210 210

Cambodia 240 240

China 596 596

Dubai 601 601

Laos 322 104 200 626

Maldives 310 234 544

Qatar 252 509 761

Turkey 449 449

Thailand 282 130 179 571 358 520 2,040

Total Rooms 282 731 310 431 1,402 1,058 1,853 6,067

Total Hotels 1 2 2 3 7 7 9 31

As of June 2019

Summary of pipeline 2019E-2022E

China 596 keysEast Asia

Turkey 449 keysWest Asia

Bali, Cambodia, Laos and Thailand 3,116 keys Southeast Asia

Maldives 544 keys South Asia

Doha and Dubai 1,362 keysMiddle East

Total portfolio: number of rooms by region

*

* Target to open in October 2019

2,139 2,001

5,088

4,756

607 543

1,9311,719

0

1,000

2,000

3,000

4,000

5,000

6,000

Q2/18 Q2/19 6M18 6M19

Total Revenue EBITDA

10.5%

6.5%

11.0%

6.5%

Hotel performance


36.1%

Unit: THB mn

EBITDA margin 27.1%

Chinese, key feeder during low season, drops, together with the closure of Centara Grand Samui for renovation since June,

Indirect impact from fire event at CentralWorld shopping mall and lower demand from government entities during changeover.

Impact from Soft demand & Closure for renovation

28.4% 37.9%

Total own portfolio


Q2/19 RevPar -6.4% from Occupancy

4,050

4,845

4,051

4,839

2,952

3,784

2,949

3,770

72.9%

78.1%

72.8%

77.9%

50%

55%

60%

65%

70%

75%

80%

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

Q2/19 6M19 Q2/19 6M19

Average Room Rate (ARR) Revenue Per Available Room (RevPar) Occupancy (OCC)

6.6%

2.0%

6.4%

4.6%

0.3%

5.9%

6.4%

4.7%

3.1%

5.2%

0.5%

5.2%

Excluding Centara Grand SamuiIncluding Centara Grand Samui

Thailand portfolio


Q2/19 RevPar -7.5% from occupancy

3,2573,937

3,2343,893

2,357

3,054

2,3363,012

72.4%

77.6%

72.2%

77.4%

50%

55%

60%

65%

70%

75%

80%

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

Q2/19 6M19 Q2/19 6M19


7.1%

1.6%

7.5%

5.1%

0.7%

6.9%

7.0%

5.2%

3.6%

5.5%

0.7%

5.7%


Bangkok portfolio


Q2/19 Revpar -7.9% from occupancy and room rate

2,879 3,093

2,207 2,430

76.6%78.6%

50%

55%

60%

65%

70%

75%

80%

85%

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

Q2/19 6M19


4.7%

7.9%

5.2%

0.2%

6.4%

2.3%

Upcountry portfolio


Q2/19 RevPar -7.2% from occupancy

3,466

4,365

3,439

4,325

2,433

3,365

2,404

3,319

70.2%

77.1%

69.9%

76.7%

50%

55%

60%

65%

70%

75%

80%

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

Q2/19 6M19 Q2/19 6M19


8.4%

7.2%

5.1%

0.7%

6.9%

8.1%

5.3%

4.3%5.4%

3.9% 6.8%

1.1%


Maldives portfolio


Q2/19 RevPar (USD) -3.5% from ARR

14,837

17,421

12,011

14,967

81.0%

85.9%

50%

55%

60%

65%

70%

75%

80%

85%

90%

0

5,000

10,000

15,000

20,000

25,000

Q2/19 6M19


3.6%

7.1%

6.1%

4.3%

1.6%

3.1%

3.3%3.5%380 USD 473 USD

Hotel revenue breakdown by region

32.5%

16.8%15.9%

12.6%

6.8% 6.7% 6.4%2.3%

32.9%

17.6%15.9%

12.7%

7.4% 5.1% 6.2%2.2%

Bangkok Maldives Phuket Pattaya Hua Hin Samui Krabi Others

6M18 6M19

Total revenue

6M19 Bangkok Maldives Phuket Pattaya Hua Hin Samui Krabi Hat Yai Tak

% RevPar Growth yoy -6.4% -3.6% -7.1% -7.3% 2.9% -21.7% -7.3% 1.2% -8.4%


done82% of hotel revenue from Thailand

-8.3%Excluding Centara Grand Samui

Food business

overview

Q2/19: Portfolio of 1,007 outletsNet expansion of 99 outlets (or +10.9% yoy), mainly from top 3 brands

Food Business Overview

Bangkok Non-Bangkok

65% Non-Bangkok

65% Non-Bangkok

Brands # of outlets Change yoy

KFC 272 +25

Mister Donut 364 +26

Auntie Anne’s 173 +22

Ootoya 46 +3

Pepper Lunch 41 +6

The Terrace 9 +1

Chabuton 19 +3

Yoshinoya 21 +4

Tenya 11 +5

Katsuya 28 +0

Cold Stone 18 -1

Aroi Dee 4 +4

Suki House 1 +1

Total 1,007 +99

Number of outlets by location Revenue contribution by location

Food business performance Growth from outlet expansion


3,052 3,225

5,8446,112

396364

737 686

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

Q2/18 Q2/19 6M18 6M19

Total Revenue EBITDA

8.2%

5.7%

6.9%

4.6%

11.2%

Unit: THB mn

EBITDA margin 11.3%13.0% 12.6%

SSS & TSS Improvement quarter on quarter


Same store sale (SSS) and Total system sale (TSS) Same store sale (SSS): Bangkok vs Non-Bangkok

-0.9%

3.3%

-1.7%

-4.1%

-1.7%

0.2%

-2.9%

0.5%

2.1%

-1.7%

-3.6%

-1.8%

-0.5%

-2.7%

-5.0%

-4.0%

-3.0%

-2.0%

-1.0%

0.0%

1.0%

2.0%

3.0%

4.0%

Bangkok Non-Bangkok

0.0%

2.6%

-1.7%

-3.8%

-1.8%

-0.3%

-2.8%

10.0%

12.5%

6.5%

3.4%

5.7%

9.0%

4.6%

-6.0%

-4.0%

-2.0%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

SSS TSS

2Q18

2Q18

3Q18

3Q18

4Q18

4Q18

1Q19

6M18

2Q19 6M18 6M19

1Q19 2Q19 6M19

Q2/19 food total revenue breakdown

KFC, 57%

Mister Donut, 14%

OOTOYA, 8%

Auntie Anne's, 7%

Others, 14%

6M19


Light food showed improving trend in Q2

(+7.4% yoy)

(+5.3% yoy)

(+3.7% yoy)

(+6.5% yoy)

(-8.6% yoy)

KFC, 56%

Mister Donut, 15%

OOTOYA, 7%

Auntie Anne's, 7%

Others, 15%

Q2/19

(+7.3% yoy)

(+7.6% yoy)

(+6.1% yoy)

(+9.0% yoy)

(-3.7% yoy)

CAPEX &

GUIDANCE 2019

3-year capital expenditure : THB 27bn

-

2,000

4,000

6,000

8,000

10,000

12,000

2018A 2019E 2020E 2021E

Hotel Food Potential projects

Sufficient funding with loan/bond & operating cashflow

Financial Highlight

2020E2019E 2021E

Centara Grand Central World

Renovation

&

Enhancement

New

Investment

&

Expansion

Centara Grand

SamuiCentara Grand Hua Hin*

New investment in food brand(s) & hotel(s)*

Food outlet expansion

2 new Centara Maldives

Centara Dubai

COSI Pattaya

COSI Chiang Mai

CAPEX (THB mn)

Annual renovation for existing hotels

Annual renovation for existing CRG’s outlets

Note: *potential projects are under feasibility study

…

CENTEL guidance 2019

Financial Highlight

2018A 2019E - Revised

Hotel

RevPar (THB) 3,786* -4% to -5% yoy(Excluding Centara Grand Beach Resort Samui and COSI Pattaya)

Food

TSS 9.3% 5% to 7% yoy

Number of outlets 956 12% to 13% yoy

Hotel:

• Open COSI Pattaya 282 rooms in October

• Revise target as a result of 1H19 performance softer than

expectation and uncertain tourists rebound in 2H19

Food:

• Outlet expansion drives the growth

• Focusing on delivery through own platform and food

aggregators

• Expansion of 2 new own brands:

• “Aroi Dee” targets to open 7-10 more outlets

• “Suki House” targets to open 2-3 more outlets

*Included COSI Samui and Centra Chaeng Watthana

Recovery in hotel business remains to be seen & high competition in food business

Q&A

27Q&A

More Information please Contract: Investor Relations department

Central Plaza Public Company Limited25th Fl, Centara Grand at CentralWorld999/9 Rama I Rd., PathumwanBangkok 10330 Thailand

https://investor.centarahotelsresorts.com/ [email protected]

Disclaimer

This presentation contains certain forward looking statements. Such forward looking statements are not guarantees of future

performance and involve risks and uncertainties, and actual results may differ from those in the forward looking statements

as a result of various factors and circumstances. The views, analyses and opinions expressed herein contain some information

derived from publicly available sources and third party information providers. No representation or warranty is made as to

the accuracy, completeness, or reliability of such information. This presentation should not be relied upon as any

recommendation, view, opinion, representation or forecast of “Central Plaza Hotel Plc.” Nothing in this presentation should

be construed as either an offer to sell, a solicitation of an offer to buy or sell shares or any type of securities in any

jurisdiction. This presentation is not intended to be any type of investment advice and must not be relied upon as such. You

must always seek the relevant professional advice before otherwise making any such financial, legal or commercial decisions.

28

Appendix

Hotel revenue by asset type (Freehold & Leasehold)

Appendix

0.9

9.5

13.5

34.3

0

5

10

15

20

25

30

35

40

Centara

Grand Hua

Hin

Centara

Grand

Ladprao

Centara

Grand Central

World

COSI Samui

Re

ma

inin

g Y

ea

rs

Remaining leasehold life for

Thailand hotels as at June 30, 2019

CHBR

7% CGLB

10%

CGCW

20%

37%

46%

17%

2018 hotel revenue

Thailand freehold

Thailand leaseholdMaldives leasehold

Appendix

Hotels in operation as at June 30, 2019 (1/3)

Owned hotels Stars Opened # of Rooms % Ownership Location

1 Centara Grand at Central Plaza Ladprao Bangkok 5 2Q83 565 100% Thailand

2 Centara Grand Resort & Villas Hua Hin 5 1Q86 249 64% Thailand

3 Centra by Centara Hotel Mae Sot* 3 4Q89 120 100% Thailand

4 Centara Hat Yai 4 4Q95 248 100% Thailand

5 Centara Grand Beach Resort Samui 5 2Q96 203 25% in Property Fund Thailand

6 Centara Villas Samui 4 2Q00 102 100% Thailand

7 Centara Villas Phuket 4 2Q00 72 100% Thailand

8 Centara Grand Beach Resort & Villas Krabi 5 4Q05 192 100% Thailand

9 Centara Kata Resort Phuket 4 2Q06 163 100% Thailand

10 Centara Karon Resort Phuket 4 2Q06 335 100% Thailand

11 Centara Grand at CentralWorld 5 4Q08 512 100% Thailand

12 Centara Grand Mirage Beach Resort Pattaya 5 4Q09 555 100% Thailand

13 Centara Grand Island Resort & Spa Maldives 5 4Q09 112 74% Maldives

14 Centara Grand Beach Resort Phuket 5 4Q10 262 100% Thailand

15 Centara Ras Fushi Resort & Spa Maldives 4 1Q13 140 75% Maldives

16 COSI Samui Chaweng Beach Affordable lifestyle 4Q17 150 100% Thailand

17 Centra by Centara Government Complex Hotel &

Convention Centre Cheang Watthana

3 4Q12 212* 100% Thailand

Total owned hotels 4,192

*after renovation since April 2019

Appendix


Managed hotels Stars Opened # of Rooms Country

18 Centara Chaan Talay Resort & Villas Trat 4 1Q08 44 Thailand

19 Centara Hotel & Convention Centre Udon Thani 4 2Q10 259 Thailand

20 Centara Q Resort Rayong 4 2Q10 41 Thailand

21 Khum Phaya Resort, Centara Boutique Collection Boutique 3Q10 87 Thailand

22 Waterfront Suites Phuket by Centara Residence 1Q11 39 Thailand

23 Centara Anda Dhevi Resort & Spa Krabi 4 4Q11 135 Thailand

24 Centara Pattaya Hotel 4 4Q11 152 Thailand

25 Centara Nova Hotel & Spa Pattaya 4 4Q11 79 Thailand

26 Centara Koh Chang Tropicana Resort 4 2Q12 157 Thailand

27 Centra Coconut Beach Resort Samui 3 3Q12 55 Thailand

28 Sandy Beach Non Nuoc Resort Danang Vietnam Managed by Centara 4 4Q12 204 Vietnam

29 Centara Watergate Hotel & Spa Bangkok 4 2Q13 281 Thailand

30 Centara Seaview Resort Khao Lak 4 2Q13 250 Thailand

31 Centara Grand Phratamnak Pattaya 5 3Q13 161 Thailand

Appendix


Managed hotels Stars Opened # of Rooms Country

32 Centara Blue Marine Resort & Spa Phuket 4 1Q14 266 Thailand

33 Centara Ceysands Resort & Spa Srilanka 4 2Q14 165 Sri Lanka

34 Centra by Centara Avenue Hotel Pattaya 3 4Q14 51 Thailand

35 Centra by Centara Maris Resort Jomtien 3 1Q16 282 Thailand

36 Centra by Centara Phu Pano Resort Krabi 3 4Q16 158 Thailand

37 Centara Azure Hotel Pattaya 4 4Q16 96 Thailand

38 Centara Muscat Hotel 4 2Q17 152 Oman

39 Centara West Bay Residences & Suites Doha Residence 4Q18 265 Qatar

40 Centara Sonrisa Residence and Suites Sriracha Residence 2Q19 145 Thailand

Total managed hotels 3,524

Grand total 7,716

Thank You

q2/19 analyst meeting presentation - listed...

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